Robinhood has launched a new cryptocurrency investment feature for users who want to pursue a dollar cost averaging (DCA) strategy with crypto.
September 9, 2021, | AtoZ Markets – Retail trading platform Robinhood has launched a service that automates investments in digital assets at regular intervals. The new feature, which the company announced to launch on September 8, will allow users to place recurring investment orders for cryptocurrencies on a daily, weekly and monthly basis. The service cost is $1.
Until the end of September, it will become available to all users, except for residents of New York State. No transaction fees are charged.
“Saving is a habit, repeated investment is consistent with a strategy to build assets over time,” the blog says.
Investing regularly allows you to focus on long-term growth, reduce risks and reduce the stress associated with timing. The service actually implements the Dollar-Cost Averaging strategy. Thus, price fluctuations are smoothed out and the risk of buying assets at highs is reduced.
The founder of the company, Vlad Tenev, noted the crypto activity of clients along with the IPO access service among the factors that influenced the financial performance. In July, he named digital assets as the foundation for the company’s future development.
The share of digital assets trading in the total platform indicator in the second quarter increased from 17% ($88 million) to 41% ($233 million).
As a reminder, Robinhood is working on a new feature that allows users to receive bank payments for up to two days. As AtoZ Markets reported, this new feature will potentially put a fintech broker on a par with companies like PayPal, Wealthfront, Chime and others.
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